Warren Adelman Sells 4,200 Shares of DigitalOcean (NYSE:DOCN) Stock

DigitalOcean Holdings, Inc. (NYSE:DOCN) Director Warren Adelman sold 4,200 shares of DigitalOcean stock in a transaction that occurred on Friday, August 7th. The stock was sold at an average price of $124.01, for a total value of $520,842.00. Following the completion of the transaction, the director owned 67,433 shares of the company’s stock, valued at approximately $8,362,366.33. This trade represents a 5.86% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link.

DigitalOcean Trading Down 7.0%

NYSE:DOCN traded down $9.05 during midday trading on Tuesday, hitting $120.68. 2,376,996 shares of the company traded hands, compared to its average volume of 3,851,186. The firm’s fifty day moving average is $143.38 and its 200-day moving average is $109.54. DigitalOcean Holdings, Inc. has a 12-month low of $28.79 and a 12-month high of $187.50. The firm has a market capitalization of $12.59 billion, a P/E ratio of 55.10, a P/E/G ratio of 113.10 and a beta of 1.61. The company has a current ratio of 1.31, a quick ratio of 1.31 and a debt-to-equity ratio of 1.14.

DigitalOcean (NYSE:DOCN) last posted its quarterly earnings data on Tuesday, August 4th. The company reported $0.45 EPS for the quarter, topping the consensus estimate of $0.26 by $0.19. DigitalOcean had a net margin of 23.26% and a return on equity of 31.01%. The company had revenue of $281.18 million during the quarter, compared to analyst estimates of $279.03 million. During the same period in the previous year, the firm earned $0.39 earnings per share. DigitalOcean’s quarterly revenue was up 28.6% compared to the same quarter last year. DigitalOcean has set its FY 2026 guidance at 1.350-1.400 EPS and its Q3 2026 guidance at 0.280-0.300 EPS. On average, sell-side analysts predict that DigitalOcean Holdings, Inc. will post 0.59 EPS for the current year.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the stock. Allworth Financial LP lifted its holdings in DigitalOcean by 54.4% during the 3rd quarter. Allworth Financial LP now owns 724 shares of the company’s stock valued at $25,000 after buying an additional 255 shares in the last quarter. Parallel Advisors LLC grew its stake in DigitalOcean by 66.2% in the 1st quarter. Parallel Advisors LLC now owns 324 shares of the company’s stock worth $28,000 after acquiring an additional 129 shares in the last quarter. Huntington National Bank grew its stake in DigitalOcean by 638.3% in the 4th quarter. Huntington National Bank now owns 598 shares of the company’s stock worth $29,000 after acquiring an additional 517 shares in the last quarter. NBC Securities Inc. purchased a new position in shares of DigitalOcean during the fourth quarter worth approximately $32,000. Finally, Banque Cantonale Vaudoise purchased a new position in shares of DigitalOcean during the first quarter worth approximately $33,000. Hedge funds and other institutional investors own 49.77% of the company’s stock.

Wall Street Analysts Forecast Growth

Several brokerages recently commented on DOCN. Weiss Ratings downgraded shares of DigitalOcean from a “buy (b-)” rating to a “hold (c+)” rating in a report on Tuesday, July 28th. Oppenheimer set a $190.00 price objective on shares of DigitalOcean in a research note on Wednesday, May 6th. KeyCorp assumed coverage on DigitalOcean in a research report on Tuesday, June 2nd. They set an “overweight” rating and a $200.00 target price for the company. Canaccord Genuity Group reaffirmed a “buy” rating and set a $200.00 target price on shares of DigitalOcean in a research note on Friday, July 10th. Finally, Barclays increased their price target on DigitalOcean from $160.00 to $161.00 and gave the stock an “overweight” rating in a report on Wednesday, August 5th. Two analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and three have issued a Hold rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $151.33.

About DigitalOcean

DigitalOcean Holdings, Inc is a cloud infrastructure provider that focuses on simplicity, performance and developer experience. The company offers a range of cloud services designed to help software developers, startups and small- to medium-sized businesses deploy, manage and scale applications. Its flagship offering, Droplets, provides virtual private servers that can be configured with various CPU, memory and storage options. In addition to compute instances, DigitalOcean’s platform includes managed Kubernetes, scalable object and block storage, managed databases, load balancers and networking capabilities such as Virtual Private Cloud (VPC) and Floating IPs.

Founded in 2011 and headquartered in New York City, DigitalOcean was created with the goal of making cloud computing more accessible to individual developers and smaller teams.